Kirin, that's totally not the case - everyone thinks because it has a hard drive and windows CD lurking in the background that it is a computer.

Not the case at all.
There are plenty of good games, and plenty more on the way.
As far as I know, most anyplace should have the free DVD deal - I believe it is a mail in rebate type of thing, and until you get the rebate, you will be out $30.
Oh, and that bundle is Jet Set Radio Future (I haven't played it - seems more of a younger crowd game) and Sega GT, which it seems has been pretty well received.
My favorite, and the one that really shows off the graphics, has been Rallisport Challenge, though both Halo and Max Payne were fun to play on it as well.